Silkbank Limited, one of the key players in the market in Consumer Banking category, has received an Expression of Interest from M/s. Pakistan Housing Finance Company (PHFC), a subsidiary of M/s. Lake City Limited for the injection of equity upto PKR 12,000,000,000/- (Pak Rupees Twelve Billion) as (“Proposed Investment”) subject to all regulatory requirements and financial due diligence.
PHFC is leading a consortium of like-minded investor group, supported and backed by the well-renowned and experienced management of M/s. Burj Capital, having requisite experience in setting up and successfully managing Islamic and conventional banks in Pakistan.
PHFC has also informed the Bank that in recognition of their standing in the business community and their intent of giving the management role to banking professionals of standing, M/s. Arif Habib Group is also willing to participate in a consortium as a minority stakeholder.
In this regard, the Board of Directors of Silkbank has granted its “In-principle approval” to formally pursue the Potential Investment.
The Proposed Investments shall be subject to the approval of the Board, shareholders, Securities and Exchange Commission of Pakistan, and State Bank of Pakistan and appropriate disclosures will be made in accordance with applicable laws, as the matter progresses.
It is expected that the investment will provide a signification boost to Silkbank’s financial position and will enable Bank to further expand its operations by investment into its flagship Retail and Consumer Portfolios which continue to be amongst the top performing businesses in the industry. Bank’s Consumer Division, with Credit Cards and Personal Loan products (Personal Installment Loan & Ready Line) have registered phenomenal growth in recent years which is a testament of the customer confidence reposed in the Bank.
